Fitbit Declines While Apple Watch Boosts Sales In Q4 2016
Vittorio HernandezThere was a significant change in the wearables market in the fourth quarter of 2016 as Fitbit suffered a contraction in shipment and reduced its market share. At the same time, Apple Watch gained and reported its best quarter ever.
Data from IDC showed that for Q4 2016, Apple shipped about 4.6 million Apple Watch units, up from 4.1 million for the same quarter in 2015. This resulted in Apple’s share in the wearable market having a 13.6 percent share of the market, down from 14.1 percent despite the hike in shipment.
Apple Reduces Gap With Fitbit
However, it managed to reduce the gap with market leader Fitbit which shipped 6.5 million units in Q4, down from 8.4 million. It resulted in Fitbit shrinking its market share to 19.2 percent from 29 percent MacRumors reports.
Making up the top 5 are Xiaomi in second place with a shipment of 5.2 million units (15.2 percent market share), Garmin in fourth place with 2.1 million shipment (6.2 percent), and Samsung 1.9 million (5.6 percent). Marketwatch notes that Fitbit suffered from “an abysmal holiday shopping season” that the company had to lay off 110 workers. However, global shipment of wearables actually grew, but the bonanza went to Xiaomi and Apple Watch which reported higher shipments.
Fitbit Assuages Investors
As a result, Fitbit reported a 19 percent decline in year-over-year revenue to $573.8 million which was short of forecast by analysts. The Q4 loss was a first time for Fitbit, but to placate worried investors, the smartwatch maker shared its plans to further boost business by using the assets of Pebbles which it purchased in 2016. Meanwhile, what helped Apple Watch improve was a change in marketing strategies.
Rather that position the Apple Watch as a fashion accessory, the Cupertino-based tech giant emphasizes the fitness capabilities of its smart timepieces. The company is also constantly updating the watchOS by releasing in late January watchOS 3.1.1.
© Copyright 2020 Mobile & Apps, All rights reserved. Do not reproduce without permission.most read
related stories
more stories from News
The Rabbit R1 appears to be just an Android app, despite earlier speculations. Read more about Rabbit's denial.
ernest hamiltonGoogle introduces a playful twist to calls with audio emojis, including a fart button. Discover the fun!
ernest hamiltonDiscover how Apple's Safari AI upgrade is revolutionizing browsing. Click to stay ahead with the latest tech insights!
ernest hamiltonStay updated on Apple's efforts to fix iPhone alarm silence bug. Read more for the latest on this critical issue!
ernest hamiltonGoogle transitions Fitbit Pay to Google Wallet worldwide, streamlining payment experiences. Stay informed on this significant development!
ernest hamiltoniOS 17.5 introduces the 'Repair State' feature, ensuring 'Find My' remains active during iPhone servicing. Stay updated on this essential update.
ernest hamiltonAmid the EU's ruling on iPadOS, Epic Games sheds light on Fortnite's release for iPad and iPhone.
ernest hamiltonGet ready for the unveiling of MediaTek's Dimensity 9300+ chipset, promising enhanced AI capabilities and a faster X4-Prime core on May 7th!
ernest hamilton